'70 Is The New 50' — Baby Boomers Are Being Told to Keep Working Because They're Mentally Sharp, But Is That A Compliment or Just a Budget Fix?

If you're cruising toward retirement and fantasizing about beach chairs and bottomless mimosas, you might want to put a pin in that. 

According to the International Monetary Fund, 70 is the new 50 — and they're not talking about Botox. A sweeping new study says boomers are sharper, stronger, and more employable than ever…which is exactly why some experts think they should stay on the job.

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The IMF's report, which drew from cognitive and physical performance data on 1 million people aged 50 and older across 41 countries, suggests older adults today are operating on a whole new level. A 70-year-old in 2022, it says, is performing about the same—mentally and physically—as a 53-year-old in 2000. That means better memory, math skills, and even grip strength. Translation: boomers aren't aging out—they're leveling up.

And that's got some major institutions eyeing this so-called "silver economy" like it's a gold mine.

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More Years, More Work?

The IMF isn't just cheering on senior brainpower. It's also warning that aging populations could tank public finances unless countries tap into this growing, capable workforce. With birth rates falling and the working-age population shrinking, the idea is that older adults might need to step up—or at least, not step away too soon.

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Denmark's already made its move. Starting in 2040, the country will raise the public pension age to 70—the highest in Europe. Since 2006, Denmark has been tying retirement age to life expectancy. 

U.S. Debates a Similar Move

The U.S. doesn't have a mandatory retirement age, but it does have a full retirement age for Social Security—66 to 67, depending on your birth year. Waiting until 70 unlocks the max payout – 8% more for each year you delay. However, a 2023 paper National Bureau of Economic Research found that only about 10% of Americans wait that long, even though over 90% would benefit from doing so.

Still, proposals to push the official full retirement age to 70 have been floating around. Sen. Rand Paul (R-KY) introduced one in late 2023 as part of negotiations over the Social Security Fairness Act. His idea? Raise the retirement age three months per year until it hits 70, saving nearly $400 billion. That proposal was ultimately scrapped, but the debate is far from over.

Not One-Size-Fits-All

Here's where it gets messy: while working longer might be viable for some, it's not a fair deal for everyone. "When you have such a big, big difference [in life expectancy], any across-the-board increase in the retirement age would be foolish," said Alicia Munnell of Boston College's Center for Retirement Research told CNBC. For lower-income Americans, who already have shorter life spans and fewer savings, later retirement could mean fewer years enjoying the benefits they've paid into.

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Andrew Biggs, a senior fellow at the American Enterprise Institute, adds another wrinkle: even if the government raised the age tomorrow, it would take decades for the savings to kick in. Meanwhile, Social Security's funding crisis is coming fast—and needs money now.

The Real Question: Is This About Opportunity or Obligation?

Yes, boomers are healthier and sharper than ever. That's worth celebrating. But pushing them to stay in the workforce longer—especially in physically demanding jobs or in sectors where ageism is still a problem—can't just be about fixing budget shortfalls.

The silver economy may be rising, but whether that's empowerment or pressure depends on who's holding the stopwatch—and who gets to choose when the clock runs out.

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